Clients’ products are bartered directly to media outlets (i.e. radio and television stations, cable systems, networks, print publications, internet companies, etc.) in exchange for advertising that would otherwise be purchased with cash.
Here’s an example of Single Source Barter.
- ABC Restaurants has a $1,000,000 cash budget planned for its radio advertising campaign
- BarterAds exchanges $200,000 in ABC Restaurants credits directly with radio stations for an equal amount of advertising.
- ABC Restaurants pays the balance of its radio advertising, $800,000, in cash.
- RESULT:
- ABC Restaurants receives $1,000,000 in advertising AND
- SAVES $200,000 in cash advertising expense.
